(MITCHELL) - The Mitchell City Council approved the city's budget for 2012, Monday night.

The estimated budget for 2012 is $2,271,499, that is about a 15 percent increase over the 2011 estimate budget.

Clerk-Treasurer George James said some of the increase was because employees were moved from the water and sewer departments into other city departments when the water plant was automated.

The city's water and sewer departments are not included in the budget for the city because, by law, they must be self-sustaining and not supported by property taxes. Adding those employees to the city's payroll, their retirement and health insurance increased the budget. The city will use funds the city receives from the local option income tax money about $133,000 to cover the 15 percent increase.